Bitmine Immersion Technologies purchased an additional 12,535 ETH and increased its reserves to 6.04 million units. The company is thus moving closer to its goal of holding 5% of the Ether supply, while its president Tom Lee attributes the recent market decline to concerns related to artificial intelligence and the macroeconomic context.
In brief
- Bitmine buys another 12,535 ETH for almost $30 million.
- The company now holds 6.04 million ETH, valued at $14.5 billion.
- Its reserves represent almost 4.9% of the Ether supply, against a target of 5%.
- Tom Lee plans to stop ETH purchases once this goal is reached.
- Bitmine places nearly 84% of its ETH in staking to generate income.
Bitmine adds almost $30 million in Ether
Bitmine announced on October 19 the acquisition of 12,535 ETH. This purchase represented approximately $29.6 million at the price retained by the company. A week earlier, it had already added 12,532 ETH to its balance sheet.
The company therefore continues its weekly purchases despite the fall in the price of crypto. The main figures published allow us to measure the extent of this strategy:
- Bitmine now holds 6041481 ETH;
- These reserves are worth nearly $14.5 billion;
- They represent approximately 4.9% of the circulating supply;
- The company still needs to acquire nearly 63,500 ETH to reach 5%;
- Its total assets reach $15.1 billion;
- This amount stood at 16.2 billion a week earlier.
The drop in total wallet value does not mean that Bitmine sold a significant portion of its Ether. It mainly reflects the decline in the price of ETH, which was trading near 2,400 dollars at the time of the calculation.
Bitmine also holds $17.6 million in bitcoin, $582 million in cash and marketable securities, as well as several strategic investments. They include a $180 million stake in Beast Industries and a $74 million stake in Eightco Holdings.
This accumulation makes Bitmine the largest listed company specializing in Ether treasury. However, it remains behind Strategy in the general ranking of companies holding cryptocurrencies. Michael Saylor’s company has a reserve of bitcoins worth around $69.5 billion.
The 5% target is approaching its final limit
Bitmine launched its Ethereum treasury strategy on June 30, 2025. Its goal is to control 5% of the ETH supply, a threshold the company presents as a defining step in its financial model.
Tom Lee recently clarified that Bitmine would stop its purchases once this target is reached. With around 63,500 ETH still needed, the company could therefore soon end an accumulation which has been a regular source of demand in the market.
The group also seeks to generate income through staking. As of October 18, he had locked up 5,067,309 ETH, or nearly 84% of his holdings. This activity would generate approximately $309 million in annualized rewards at current yields.
Bitmine estimates that these revenues could reach $369 million per year if all of its Ethers were staked. This projection remains variable, as it depends on network performance, crypto price, validator performance and operating costs.
Concentrating this amount of Ethereum also carries risks. A fall in the token directly reduces the value of Bitmine’s balance sheet. Additionally, a decline in its stock price could complicate its future capital raisings.
Tom Lee links crypto decline to AI fears
Ether has lost around 11.5% in two weeks, compared to 4.4% for bitcoin. Tom Lee attributes this decline to a general contraction in investors’ appetite for risk, rather than to a specific deterioration of the Ethereum network.
According to him, several factors weighed simultaneously on the markets: questions about the financing of artificial intelligence, doubts about the safety of the models, tensions between the United States and Iran, the American mid-term elections and the global rise in bond yields.
Tom Lee said:
Investors’ appetite for risk has contracted in recent weeks.
He believes that the decline in semiconductor stocks then spread to the South Korean and Taiwanese markets, and then to cryptos.
This explanation remains that of the president of Bitmine. It does not prove that concerns around AI are the sole cause of Ethereum’s decline. Interest rates, institutional flows and leveraged sales also influence the market.
Bitmine nevertheless considers the current drop as a buying opportunity. Its proximity to the 5% objective will soon make it possible to verify another point: the ability of Ether to maintain solid demand when its main regular institutional buyer ceases its acquisitions.
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